A.C. No. 7027 January 30, 2009Facts: Complainant Tanu Reddi, an American citizen of Indian descent and a practicing endodontist [dentist] in New York, seeks the disbarment of respondent Atty. Diosdado C. Sebrio, Jr. for allegedly deceiving her into giving him a total of US $ 3,000,000 for the purpose of, among other things, purchasing several real estate properties for resale.

Inspired by the charitable works of her parents, complainant decided to build a hospital in the Philippines. However she needed more revenue to finance the said undertaking. Through the advice of her assistant Immaculada Luistro, complainant ventured into the real estate in the Philippines. It through this business hat he came to know and ask for legal advice from respondent.

Respondent advised that complainant cannot own real estate in the Philippines since she is an alien, thus the remedy is to put up a corporation, and this corporation will be the one who will acquire the land. Three corporations then were created. Through the instance of respondent and financed by complainants, several lots were purchased. However, complainant was unaware that the transactions [sale of several lands] she had entered into were all bogus, since the sellers were not the real owners of the land. This fact was known to the respondent since he is the one who arranged the transactions.

Issue:Whether or not respondent is guilty of dishonesty, hence violating the Lawyer's Oath and Code of Professional Responsibility.

Ruling:Yes, the commissioner who investigated the case of respondent [result of the investigation was adopted by the Supreme Court] found respondent to have committed fraudulent acts which constitute violations of the lawyer’s oath and numerous provisions of the Code of Professional Responsibility (CPR). He engaged in unlawful, dishonest and deceitful conduct when he offered properties for sale to complainant on the misrepresentation that complainant was dealing with the true owners thereof.

The court found that respondent’s dishonest and deceitful conduct with respect to the intended transactions, real property acquisitions which turned out to be bogus, is sufficiently established.

Explained the court, "to reiterate, byhisownadmission, respondent received a total of US$544,828 from complainant, which he could not properly account for. The orchestrated manner in which he carried out his fraudulent scheme, in connivance with other persons, and by taking advantage of complainant’s naivete in the workings of the real estate business in the Philippines, depict a man whose character falls way, way short of the exacting standards required of him as a member of the bar and an officer of the court. Thus, respondent is no longer fit to remain as such.

The court in admonition reiterates that if the practice of law, however, is to remain an honorable profession and attain its basic ideals, those enrolled in its ranks should not only master its tenets and principles but should also, in their lives, accord continuing fidelity to them. The requirement of good moral character is, in fact, of much greater import, as far as the general public is concerned, than the possession of legal learning."

WHEREFORE, respondent Diosdado C. Sebrio, Jr. is DISBARRED, and his name is ORDERED STRICKEN from the Roll of Attorneys. He is ORDERED TO RETURN to complainant the amount of US$544,828.